Pacasmayo Sets NY Target

Peru’s Cementos Pacasmayo is heard aiming for February 7 to hold its New York follow-on, and plans to price the debut of its ADRs at $11.50-$13.00. The sale of 20m ADRs, representing 100m common shares, would raise $282m at the $12.25 midpoint, assuming a 3m share greenshoe is exercised. The offer is seen as essentially being an IPO for the cement company, as its Lima shares are relatively illiquid. The shares closed Friday at PES5.90 ($2.19). Pacasmayo is raising funds for the expansion of its La Rioja plant and also for the development of a phosphate and brine project. JPMorgan and Santander are managing the transaction. The deal is looking to be the first large equity offering of the year in LatAm. Others that are close to seeing the light of day include an IPO of Mexico’s Alpek, which could also happen in February, and IPOs from Brazilians Brazil Travel and Seabras, each expected to launch as soon as this week.